[Federal Register Volume 60, Number 158 (Wednesday, August 16, 1995)]
[Notices]
[Pages 42521-42527]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-20297]



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DEPARTMENT OF COMMERCE
[A-570-838]


Honey From the People's Republic of China; Suspension of 
Investigation

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

ACTION: Notice of suspension of investigation; honey from the People's 
Republic of China.

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SUMMARY: The Department of Commerce (the Department) has suspended the 
antidumping investigation on honey from the People's Republic of China 
(PRC). The basis for the suspension is an agreement by the Government 
of the 

[[Page 42522]]
PRC to restrict the volume of direct or indirect exports to the United 
States of honey products from all PRC producers/exporters, thus, 
preventing the suppression or undercutting of price levels of domestic 
products by imports of the merchandise under investigation.

EFFECTIVE DATE: August 16, 1995.

FOR FURTHER INFORMATION CONTACT: James Doyle or Lisa Yarbrough, Office 
of Agreements Compliance, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
3793.

SUPPLEMENTARY INFORMATION:

Case History

    On October 24, 1994, the Department initiated an antidumping duty 
investigation on honey from the PRC based on a petition filed by 
members of the American Beekeeping Federation and the American Honey 
Producers Association (59 FR 54434, October 31, 1994) (petitioners). 
The International Trade Commission issued an affirmative preliminary 
injury determination on November 25, 1994 (59 FR 60655). On March 20, 
1995, the Department preliminarily determined that imports of honey 
from the PRC are being sold at less than fair value in the United 
States (60 FR 14725).
    On March 16, 1995, the China Chamber of Commerce for Foodstuffs, 
Native Produce and Animal By-Products Importers and Exporters, (the 
Chamber) and 28 respondent exporters (the respondents), listed in the 
``Continuation of Suspension of Liquidation'' section of this notice, 
requested that the Department postpone the final determination. On 
March 30, 1995, we did so (60 FR 17514, April 6, 1995).
    On March 22, 1995, respondents filed two ministerial error 
allegations regarding the preliminary determination and the valuation 
of raw honey and steel drums. The Department rejected these allegations 
(See Memorandum from The Team, Office of Antidumping Investigations, to 
Barbara R. Stafford, Deputy Assistant Secretary for Investigations, 
dated April 14, 1995).
    On April 27, 1995, petitioners alleged that critical circumstances 
exist with respect to imports of honey from the PRC. Accordingly, the 
Department, on May 3, 1995, requested that respondents provide monthly 
volume and value shipment data for exports of honey to the United 
States. They did so on May 15, 1995. On May 30, 1995, the Department 
issued its preliminary critical circumstances determination (60 FR 
29824, June 6, 1995).
    In June 1995, we conducted verifications at the Ministry of Foreign 
Trade and Economic Cooperation (MOFTEC), the Chamber, Kunshan Xinlong 
Foods, Ltd. (Kunshan Xinlong), Jiangsu Native Produce Import and Export 
(Jiangsu Native) and its supplier Jiangsu Sweet, Jiangxi Native Produce 
Import and Export (Jiangxi Native), and its suppliers Jiangxi Ao Shan 
Duo Qi Beverage Factory (Ao Shan) and Qinghai Provincial Bee Products 
(Qinghai Bee), and Zhejiang Native Produce & Animal By-product Import 
and Export (Zhejiang Native) and its supplier Hangzhou Lewei Food 
Factory (Hangzhou Lewei). Verification reports were issued in June 
1995.
    On July 3, 1995, the Assistant Secretary for Import Administration 
and representatives of the Chinese government initialed a proposed 
suspension agreement.
    Case briefs were filed by petitioners, respondents, and the 
National Honey Packers and Dealers Association (the NHPDA) on July 3, 
1995. Rebuttal briefs were submitted by each of these parties on July 
7, 1995. A public hearing was held on July 11, 1995.
    Comments regarding the proposed suspension agreement were filed by 
petitioners, respondents, and the NHPDA on July 3, 1995. Petitioners 
filed rebuttal comments on July 26, 1995.

Scope of the Agreement

    The products covered by this investigation are natural honey, 
artificial honey containing more than 50 percent natural honey by 
weight, and preparations of natural honey containing more than 50 
percent natural honey by weight. The subject products include all 
grades and colors of honey whether in liquid, creamed, comb, cut comb, 
or chunk form, and whether packaged for retail or in bulk form.
    The subject merchandise is currently classifiable under subheadings 
0409.00.00, 1702.90.50, 2106.90.61, and 2106.90.69 of the Harmonized 
Tariff Schedule of the United States (HTSUS).

Period of Investigation

    The period of investigation (POI) is May 1, 1994, through October 
31, 1994.

Suspension of Investigation

    The Department consulted with the parties to the proceeding and has 
considered the comments submitted with respect to the proposed 
suspension agreement. The signed suspension agreement reflects the 
decisions of the Department with respect to many of the issues parties 
raised in their comments on the proposed agreement.
    We have determined that the agreement will prevent the suppression 
or undercutting of price levels of honey in the United States, that the 
agreement can be monitored effectively, and that the agreement is in 
the public interest. We find, therefore, that the criteria for 
suspension of an investigation pursuant to Section 734(l) of the Tariff 
Act of 1930, as amended (the ``Act''), have been met. The terms and 
conditions of the agreement, signed August 2, 1995, are set forth in 
Annex 1 to this notice.
    Pursuant to Section 734(f)(2)(A) of the Act, effective (date of 
publication of Federal Register notice), the suspension of liquidation 
of all entries entered or withdrawn from warehouse, for consumption of 
honey from the PRC, as directed in our notice of ``Preliminary 
Determination of Sales at Less Than Fair Value: Honey from the People's 
Republic of China'' is hereby terminated. Any cash deposits on entries 
of honey from the PRC pursuant to that suspension of liquidation shall 
be refunded and any bonds shall be released.
    Notwithstanding the suspension agreement, the Department will 
continue the investigation if we receive such a request in accordance 
with Section 734(g) of the Act within 20 days after the date of 
publication of this notice. This notice is published pursuant to 
Section 734(f)(1)(A) of the Act.

    Dated: August 7, 1995.
Susan G. Esserman,
Assistant Secretary for Import Administration.

Annex 1: Agreement Suspending the Antidumping Investigation on Honey 
From the People's Republic of China

    For the purpose of encouraging free and fair trade in honey, 
establishing more normal market relations, and preventing the 
suppression or undercutting of price levels of the domestic product, 
the United States Department of Commerce (``the Department'') and the 
Government of the People's Republic of China (``PRC'') enter into this 
suspension agreement (``the Agreement'').
    Pursuant to this Agreement, the Government of the PRC will restrict 
the volume of direct or indirect exports to the United States of honey 
products from all PRC producers/exporters, subject to the terms and 
provisions set forth below.
    On the basis of this Agreement, pursuant to the provisions of 
Section 734(l) of the Tariff Act of 1930, as 

[[Page 42523]]
amended (the ``Act'') (19 U.S.C. 1673c(l)), the Department shall 
suspend its antidumping investigation with respect to honey produced in 
the PRC, subject to the terms and provisions set forth below. Further, 
the Department will instruct the U.S. Customs Service to terminate the 
suspension of liquidation of, and release any cash deposit or bond 
posted on, the products covered by this Agreement as of the effective 
date of this Agreement.

I. Definitions

    For purposes of this Agreement, the following definitions apply:
    A. ``Date of Export'' for imports of subject merchandise into the 
United States shall be considered the date the Quota Certificate was 
issued.
    B. ``Parties to the Proceeding'' means any interested party, within 
the meaning of Section 353.2(k) of the Department's Regulations, which 
actively participates through written submissions of factual 
information or written argument.
    C. ``Indirect Exports'' means arrangements as defined in Section 
III.E of this Agreement and exports from the PRC through one or more 
third countries, whether or not such exports are sold in one or more 
third countries prior to importation into the United States.
    D. For purposes of this Agreement, ``United States'' shall comprise 
the customs territory of the United States of America (the 50 States, 
the District of Columbia and Puerto Rico) and foreign trade zones 
located in the territory of the United States of America.
    E. ``For consumption'' means material sold in retail form, or in 
bulk form to end-users. The material shall not be resold except as a 
result of force majeure.
    F. ``End-user'' means an entity, such as a retailer or an 
industrial purchaser (e.g., a baker or manufacturer), which consumes 
subject merchandise.
    G. ``Quota Certificate'' is the document which serves as both a 
quota certificate and a certificate of origin. A Quota Certificate must 
accompany all shipments of subject merchandise from the PRC to the 
United States, and must contain all of the information enumerated in 
the Appendix (U.S. sales), except Date of Entry information and Final 
Destination.
    H. ``Relevant Period'' for the export limits of this Agreement 
means the period August 1 through July 31.

II. Product Coverage

    The products covered by this Agreement (``subject merchandise'') 
are natural honey, artificial honey containing more than 50 percent 
natural honey by weight, and preparations of natural honey containing 
more than 50 percent natural honey by weight. The subject products 
include all grades and colors of honey whether in liquid, creamed, 
comb, comb cut, or chunk form, and whether packaged for retail or in 
bulk form.
    The subject merchandise is currently classifiable under subheadings 
0409.00.00, 1702.90.50, 2106.90.61, and 2106.90.69 of the Harmonized 
Tariff Schedule of the United States (``HTSUS''). Although the HTSUS 
subheading is provided for convenience and customs purposes, our 
written description of the scope is dispositive.

III. Export Limits

    A. The export limits for subject merchandise in each Relevant 
Period shall be 43,925,000 pounds plus or minus a maximum of six 
percent per year of quota based upon the U.S. honey market growth in 
each Relevant Period. The export limits for each Relevant Period shall 
be allocated in semi-annual quota allocation periods. No more than 60% 
of the export limits for any Relevant Period can be allocated in any 
given semi-annual quota allocation period. Deductions from the export 
limits shall be made based on the ``Date of Export'', as defined in 
Section I.
    B. On or after the effective date of this Agreement, the Government 
of the PRC will restrict the volume of direct or indirect exports of 
subject merchandise to the United States, and the transfer or 
withdrawal from inventory of subject merchandise (consistent with the 
provisions of Section III.D), in accordance with the export limits then 
in effect.
    C. A delivery may not be made for more than the entire amount of 
quota allocated for that semi-annual quota allocation period. Any 
amount delivered during a Relevant Period shall not, however, when 
cumulated with all prior deliveries in such Relevant Period, exceed the 
annual quota for that Relevant Period.
    D. Any inventories of subject merchandise currently held in the 
United States by a Chinese entity and imported into the United States 
between December 20, 1994 (the date corresponding to the Department's 
critical circumstances determination) and the effective date of this 
Agreement will be subject to the following conditions:
    1. Such inventories will not be transferred or withdrawn from 
inventory for consumption in the United States without a Quota 
Certificate issued by the Government of the PRC. Any such transfers or 
withdrawals from inventory shall be deducted from the export limits in 
effect at the time the Quota Certificate is issued.
    2. A request for a Quota Certificate under this provision shall be 
accompanied by a report specifying the original date of export, the 
date of entry into the United States, the identity of the original 
exporter and importer, the customer, a complete description of the 
product (including lot numbers and other available identifying 
documentation), and the quantity expressed in pounds.
    3. In the event that there is a surge of sales of subject 
merchandise from such inventory, the Department will decrease the 
export limits to take into account such sales.
    E. Any arrangement involving the exchange, sale, or delivery of 
honey products from the PRC, to the degree it results in the sale or 
delivery in the United States of honey products from a country other 
than the PRC, is subject to the requirements of Section V and will be 
counted toward the export limits. Any such transaction that does not 
comply with the requirements of Section V will be deducted from the 
export limits pursuant to Section VII.
    F. Where subject merchandise is imported into the United States and 
is subsequently re-exported, or re-packaged and re-exported, the export 
limits shall be increased by the amount of pounds re-exported. Such 
increase will be applicable to the Relevant Period corresponding to the 
time of such re-export. Such increase will be applied only after the 
Department receives, and has the opportunity to verify, evidence 
demonstrating original importation, any re-packaging, and subsequent 
exportation. The re-exported material must be identical to the imported 
material.
    G. Quota Certificates for a given Relevant Period may not be issued 
after July 31, except that Quota Certificates not so issued may be 
issued during the first three months of the following Relevant Period, 
up to a maximum of 15 percent of the export limit for that following 
Relevant Period. Such ``carried-over'' quota shall be counted against 
the export limits applicable to the previous Relevant Period.
    Quota Certificates for up to 15 percent of the export limits for a 
subsequent Relevant Period may be issued as early as June 1 of the 
preceding Relevant Period. Such ``carried-back'' quota shall be counted 
against the export limits applicable to the following Relevant Period. 

[[Page 42524]]

    H. For the first 90 days after the effective date of this 
Agreement, subject merchandise shall be admitted into the United States 
with a ``Quota Certificate/Certificate of Origin (Temporary Papers).''
    The volume of any such imports will be deducted from the export 
limits applicable to the first Relevant Period. A full reporting of any 
such imports, which must correspond to the United States sales 
information detailed in the Appendix, must be submitted to the 
Department no later than 30 days after the conclusion of the 90 day 
period. This data must be sorted on the basis of date of export.

IV. Reference Price

    A. Subject merchandise will not be sold below the reference price. 
Each HTS category of material shall have its own reference price, and 
all such reference prices shall be calculated in the same manner.
    B. The reference price, issued quarterly by the Department, shall 
be released by September 1, December 1, March 1, and June 1 of each 
year and shall be effective on October 1, January 1, April 1, and July 
1, respectively. The reference price for August 4 through September 30 
of the first Relevant Period shall be issued and effective on August 4. 
Either party is entitled to request consultations regarding the 
calculation of reference prices.
    C. The reference price equals the product of 92 percent and the 
weighted-average of the honey unit import values from all other 
countries for the most recent six months of data available at the time 
the reference price is calculated. The source of the unit import values 
will be publicly available United States trade statistics from the 
United States Bureau of the Census.
    D. The Government of the PRC will ensure that the PRC unit values 
of subject imports will equal or exceed the reference price at 
equivalent points in the transaction chain. The reference price will be 
at a level in the transaction chain as far upstream as possible (i.e., 
F.O.B.). The Government of the PRC will ensure that contracts and all 
relevant documentation will be available to the Department and will be 
subject to verification.
    E. Subject merchandise imported after the effective date of the 
Agreement, exported from the PRC prior to August 2, 1995, and sold 
pursuant to a contract in effect on or before July 3, 1995, shall not 
be subject to reference price restrictions. Consistent with Section 
III.H., the volume of such imports shall be deducted from the export 
limits.

V. Quota Certificate

    A. The Government of the PRC will restrict the volume of direct or 
indirect exports of subject merchandise by means of semi-annual quota 
allocations and Quota Certificates. Quota Certificates shall be issued 
by the Ministry of Foreign Trade and Economic Cooperation (``MOFTEC'') 
for all direct or indirect exports of subject merchandise to the United 
States in accordance with the export limits in Section III and the 
reference price in Section IV.
    B. Thirty days following the semi-annual allocation of quota rights 
for any Relevant Period, MOFTEC shall provide to the Department a 
report identifying each quota recipient and the volume of quota which 
each recipient has been accorded (``report of quota allocation 
results'').
    C. Before it issues a Quota Certificate, MOFTEC will ensure that 
the Relevant Period's quota volume is not exceeded and that the price 
for the subject merchandise is at or above the reference price.
    D. The Government of the PRC shall take action, including the 
imposition of penalties, as may be necessary to make effective the 
obligations resulting from the price restrictions, export limits, and 
Quota Certificates. The Government of the PRC will inform the 
Department of any violations concerning the price restrictions, export 
limits and/or Quota Certificates which come to its attention and the 
action taken with respect thereto.
    The Department will inform the Government of the PRC of violations 
concerning the price restrictions, export limits, and/or Quota 
Certificates which come to its attention and the action taken with 
respect thereto.
    E. Quota Certificates will be issued sequentially, endorsed against 
the export limits for the Relevant Periods, and will reference the 
report of quota allocation results for the appropriate Relevant Period.
    F. Quota Certificates must be issued no earlier than one month 
before the day, month, and year on which the merchandise is accepted by 
a transportation company, as indicated in the bill-of-lading or a 
comparable transportation document, for export. Quota Certificates must 
contain an English language translation.
    G. On or after the effective date of this Agreement, the United 
States shall require presentation of a Quota Certificate as a condition 
for entry of subject merchandise into the United States. The United 
States will prohibit the entry of any subject merchandise not 
accompanied by a Quota Certificate.

VI. Implementation

    In order to effectively restrict the volume of exports of honey to 
the United States, the Government of the PRC agrees to implement the 
following procedures:
    A. Establish, through MOFTEC, a quota certification program for all 
exports of subject merchandise to, or destined directly or indirectly 
for consumption in, the United States, no later than 90 days after the 
effective date of this Agreement.
    B. Ensure compliance by any official PRC institution, chamber, or 
other entities authorized by the Government of the PRC, all Chinese 
producers, exporters, brokers, and traders of the subject merchandise, 
and their related parties, with all procedures established in order to 
effectuate this Agreement.
    C. Collect information from all Chinese producers, exporters, 
brokers, and traders of the subject merchandise, and their related 
parties, on the sale of the subject merchandise.
    D. Impose strict sanctions, such as penalties or prohibition from 
participation in the export limits allowed by the Agreement, in the 
event that any Chinese or Chinese-related party does not comply in full 
with all the terms of the Agreement.

VII. Anticircumvention

    A. The Government of the PRC will take all appropriate measures 
under Chinese law to prevent circumvention of this Agreement. It shall 
respond promptly to conduct an inquiry into any and all allegations of 
circumvention, including allegations raised by the Department, and 
shall complete such inquiries in a timely manner (normally within 45 
days). The Government of the PRC shall notify the Department of the 
results of its inquiries within ten days of the conclusion of such 
inquiries. Within 15 days of a request from the Department, the 
Government of the PRC shall share with the Department all facts known 
to the Government of the PRC regarding its inquiries, its analysis of 
such facts and the results of such inquiries. The Government of the PRC 
will require all Chinese exporters of honey to include a provision in 
their contracts for sales to countries other than the United States 
that the honey sold through such contracts cannot be re-exported, 
transhipped or swapped to the United States, or otherwise used to 
circumvent the export limits of this Agreement. The Government of the 
PRC will also establish appropriate mechanisms to enforce this 
requirement.
    B. If, in an inquiry pursuant to paragraph A, the Government of the 


[[Page 42525]]
PRC determines that a Chinese company has participated in a transaction 
that resulted in circumvention of the export limits of this Agreement, 
then the Government of the PRC shall impose penalties on such company 
including, but not limited to, denial of access to the honey quota. 
Additionally, the Government of the PRC shall deduct an amount of honey 
equivalent to the amount involved in such circumvention from the 
available quota and shall immediately notify the Department of the 
amount deducted. If sufficient quota is not available in the current 
Relevant Period, then the remaining amount necessary shall be deducted 
from the subsequent Relevant Period.
    C. If the Government of the PRC determines that a company from a 
third country has circumvented the Agreement and the parties agree that 
no Chinese entity participated in or had knowledge of such activities, 
then the parties shall hold consultations for the purpose of sharing 
evidence regarding such circumvention and reaching mutual agreement on 
the appropriate steps to be taken to eliminate such circumvention, such 
as the Government of the PRC prohibiting sales of Chinese honey to the 
company responsible or reducing honey exports to the country in 
question. If the parties are unable to reach mutual agreement within 45 
days, then the Department may take appropriate action, such as 
deducting the amount of honey involved in such circumvention from the 
available quota, taking into account all relevant factors. Before 
taking such action, the Department will notify the Government of the 
PRC of the facts and reasons constituting the basis for the 
Department's intended action and will afford the Government of the PRC 
ten days in which to comment.
    D. If the Department determines that a Chinese entity participated 
in circumvention, the parties shall hold consultations for the purpose 
of sharing evidence regarding such circumvention and reaching mutual 
agreement on an appropriate resolution of the problem. If the parties 
are unable to reach mutual agreement within 45 days, the Department may 
take appropriate action, such as deducting the amount of honey involved 
in such circumvention from the available quota. Before taking such 
action, the Department will notify the Government of the PRC of the 
facts and reasons constituting the basis for the Department's intended 
action and will afford the Government of the PRC ten days in which to 
comment.
    E. The Department shall direct the U.S. Customs Service to require 
all importers of honey into the United States, regardless of stated 
country of origin, to submit at the time of entry a written statement 
certifying that the honey being imported was not obtained under any 
arrangement, swap, or other exchange which would result in the 
circumvention of the export limits established by this Agreement. Where 
the Department has reason to believe that such a certification has been 
made falsely, the Department will refer the matter to Customs or the 
Department of Justice for further action.
    F. Given the fungibility of the world honey market, the Department 
will take the following factors into account in distinguishing normal 
honey market arrangements, swaps, or other exchanges from arrangements, 
swaps, or other exchanges which would result in the circumvention of 
the export limits established by this Agreement:
1. existence of any verbal or written arrangements which would result 
in the circumvention of the export limits established by this 
Agreement;
2. existence of any arrangement as defined in Section III.E that was 
not reported to the Department pursuant to Section VIII.A;
3. existence and function of any subsidiaries or affiliates of the 
parties involved;
4. existence and function of any historical and/or traditional trading 
patterns among the parties involved;
5. deviations (and reasons for deviation) from the above patterns, 
including physical conditions of relevant honey facilities;
6. existence of any payments unaccounted for by previous or subsequent 
deliveries, or any payments to one party for merchandise delivered or 
swapped by another party;
7. sequence and timing of the arrangements; and
8. any other information relevant to the transaction or circumstances.

    G. ``Swaps'' include, but are not limited to:
    Ownership swaps--involve the exchange of ownership of any type of 
honey product(s), without physical transfer. These may include exchange 
of ownership of honey products in different countries, so that the 
parties obtain ownership of products located in different countries; or 
exchange of ownership of honey products produced in different 
countries, so that the parties obtain ownership of products of 
different national origin.
    Flag swaps--involve the exchange of indicia of national origin of 
honey products, without any exchange of ownership.
    Displacement swaps--involve the sale or delivery of any type of 
honey product(s) from China to an intermediary country (or countries) 
which can be shown to have resulted in the ultimate delivery or sale 
into the United States of displaced honey products of any type, 
regardless of the sequence of the transaction.
    H. The Department will enter its determinations regarding 
circumvention into the record of the Agreement.

VIII. Monitoring

    The Government of the PRC will provide to the Department such 
information as is necessary and appropriate to monitor the 
implementation of and compliance with the terms of this Agreement. The 
Department of Commerce shall provide semi-annual reports to the 
Government of the PRC indicating the volume of imports of the subject 
merchandise to the United States, together with such additional 
information as is necessary and appropriate to monitor the 
implementation of this Agreement.
A. Reporting of Data
    Beginning on the effective date of this Agreement, the Government 
of the PRC shall collect and provide to the Department the information 
set forth, in the agreed format, in the Appendix. All such information 
will be provided to the Department by April 30th of each year for 
exports during the period from August 1 through January 31st. In 
addition, such information will be provided to the Department by 
October 31st for sales from February 1st through July 31st, or within 
90 days of a request made by the Department. Such information will be 
subject to the verification provision identified in Section VIII.C of 
this Agreement. The Department may disregard any information submitted 
after the deadlines set forth in this Section or any information which 
it is unable to verify to its satisfaction.
    Aggregate quantity and value of sales by HTS category to each third 
country will be provided to the Department by April 30th of each year 
for exports during the period from August 1st of the previous year 
through January 31st. In addition, such quantity and value information 
will be provided to the Department by October 31st for sales from 
February 1st through July 31st.
    Transaction specific data for all third country sales will also be 
reported on the schedule provided above in the format provided in the 
Appendix. However, if the Department concludes that the transaction 
specific data is not necessary for a given period, it will 

[[Page 42526]]
notify the Government of the PRC at least 90 days before the reporting 
deadline that transaction specific sales data need not be reported. If 
the Department determines that such data is relevant in connection with 
Section VII and requests information on transactions for one or more 
third countries during a period for which the Department waived 
complete reporting, the Government of the PRC will provide the data 
listed in the Appendix for those specific transactions within 90 days 
of the request.
    Both governments recognize that the effective monitoring of this 
Agreement may require that the PRC provide information additional to 
that which is identified above. Accordingly, the Department may 
establish additional reporting requirements, as appropriate, during the 
course of this Agreement.
    The Department shall provide notice to the Government of the PRC of 
any additional reporting requirements no later than 45 days prior to 
the period covered by such reporting requirements unless a shorter 
notice period is mutually agreed.
B. Other Sources for Monitoring
    The Department will review publicly-available data as well as 
Customs Form 7501 entry summaries and other official import data from 
the Bureau of the Census, on a monthly basis, to determine whether 
there have been imports that are inconsistent with the provisions of 
this Agreement.
    The Department will monitor Bureau of the Census IM-115 
computerized records, which include the quantity and value of each 
entry. Because these records do not provide other specific entry 
information, such as the identity of the producer/exporter which may be 
responsible for such sales, the Department may request the U.S. Customs 
Service to provide such information. The Department may request other 
additional documentation from the U.S. Customs Service.
    The Department may also request the U.S. Customs Service to direct 
ports of entry to forward an Antidumping Report of Importations for 
entries of the subject merchandise during the period this Agreement is 
in effect.
C. Verification
    The Government of the PRC will permit full verification of all 
information related to the administration of this Agreement, on an 
annual basis or more frequently, as the Department deems necessary to 
ensure that the PRC is in full compliance with the terms of the 
Agreement. Such verifications may take place in association with 
scheduled consultations whenever possible.

IX. Disclosure and Comment

    A. The Department shall make available to representatives of each 
party to the proceeding, under appropriately-drawn administrative 
protective orders consistent with the Department's Regulations, 
business proprietary information submitted to the Department semi-
annually or upon request, and in any administrative review of this 
Agreement.
    B. Not later than 30 days after the date of disclosure under 
Section VIII.A, the parties to the proceeding may submit written 
comments to the Department, not to exceed 30 pages.
    C. During the anniversary month of this Agreement, each party to 
the proceeding may request a hearing on issues raised during the 
preceding Relevant Period. If such a hearing is requested, it will be 
conducted in accordance with Section 751 of the Act (19 U.S.C. 1675) 
and applicable regulations.

X. Consultations

    The Government of the PRC and the Department shall hold 
consultations regarding matters concerning the implementation, 
operation including the calculation of reference prices, and/or 
enforcement of this Agreement. Such consultations will be held each 
year during the anniversary month of this Agreement. Additional 
consultations may be held at any other time upon request of either the 
Government of the PRC or the Department.

XI. Violations of the Agreement

A. Violation
    ``Violation'' means noncompliance with the terms of this Agreement 
caused by an act or omission in accordance with Section 353.19 of the 
Departments Regulations.
    The Government of the PRC and the Department will inform the other 
party of any violations of the Agreement which come to their attention 
and the action taken with respect thereto.
    Imports in excess of the export limits set out in this Agreement 
shall not be considered a violation of this Agreement or an indication 
the Agreement no longer meets the requirements of Section 734(l) of the 
Act where such imports are minimal in volume, are the result of 
technical shipping circumstances, and are applied against the export 
limits of the following year.
    Prior to making a determination of an alleged violation, the 
Department will engage in emergency consultations. Such consultations 
shall begin no later than 14 days from the day of request and shall 
provide for full review, but in no event will exceed 30 days. After 
consultations, the Department will provide the Government of the PRC 10 
days within which to provide comments. The Department will make a 
determination within 20 days.
B. Appropriate Action
    If the Department determines that this Agreement is being or has 
been violated, the Department will take such action as it determines is 
appropriate under Section 734(i) of the Act and Section 353.19 of the 
Department's Regulations.

XII. Duration

    The export limits provided for in Section III of this Agreement 
shall remain in force from the effective date of this Agreement through 
August 1, 2000.
    The Department will, upon receiving a proper request no later than 
August 1, 1999, conduct an administrative review under Section 751 of 
the Act. The Department expects to terminate this Agreement and the 
underlying investigation no later than August 1, 2000, provided that 
the PRC has not been found to have violated the Agreement in any 
substantive manner. Such review and termination shall be conducted 
consistent with Section 353.25 of the Department's Regulations.
    The Government of the PRC may terminate this Agreement at any time 
upon notice to the Department. Termination shall be effective 60 days 
after such notice is given to the Department. Upon termination at the 
request of the Government of the PRC, the provisions of Section 734(i) 
of the Act shall apply.

XIII. Other Provisions

    A. In entering into this Agreement, the Government of the PRC does 
not admit that any sales of the merchandise subject to this Agreement 
have been made at less than fair value or that such sales have 
materially injured, or threatened material injury to, an industry or 
industries in the United States.
    B. The Department finds that this Agreement is in the public 
interest; that effective monitoring of this Agreement by the United 
States is practicable; and that this Agreement will prevent the 
suppression or undercutting of price levels of United States domestic 
honey products by imports of the merchandise subject to this Agreement.
    C. The Department does not consider any of the obligations 
concerning exports of honey to the United States 

[[Page 42527]]
undertaken by the Government of the PRC pursuant to this Agreement 
relevant to the question of whether firms in the underlying 
investigation would be entitled to separate rates, should the 
investigation be resumed for any reason.
    D. The English language version of this Agreement shall be 
controlling.
    E. For all purposes hereunder, the Department and the signatory 
Government shall be represented by, and all communications and notices 
shall be given and addressed to:

Department of Commerce

U.S. Department of Commerce, Assistant Secretary, for Import 
Administration, International Trade Administration, Washington, D.C. 
20230

Government of the PRC

Ministry of Foreign Trade and Economic Cooperation, Deputy Director 
General, 2, Dong Chang An Street, Beijing, Post Code 100731, People's 
Republic of China

XIV. Effective Date

    The effective date of this Agreement suspending the antidumping 
investigation on honey from the PRC, August 2, 1995.

    Signed on this second day of August, 1995.

    For the U.S. Department of Commerce.
Susan G. Esserman,
Assistant Secretary for Import Administration.

    MOFTEC for the Government of the People's Republic of China.
Wang Tian Ming,
Minister-Councillor, Embassy of the People's Republic of China in the 
United States.

Appendix

    In accordance with the established format, the Government of the 
PRC shall collect and provide to the Department all information 
necessary to ensure compliance with this Agreement. This information 
will be provided to the Department on a semi-annual basis, or upon 
request.
    The Government of the PRC will collect and maintain sales data to 
the United States, in the home market, and to countries other than the 
United States, on a continuous basis and provide the prescribed 
information to the Department.
    The Government of the PRC will provide a narrative explanation to 
substantiate all data collected in accordance with the following 
formats.

Report of Inventories

    Report, by location, the inventories held by the PRC in the United 
States and imported into the United States between the period beginning 
December 20, 1994, through the effective date of the Agreement.

1. Quantity: Indicate original units of measure and in pounds.
2. Location: Identify where the inventory is currently being held. 
Provide the name and address for the location.
3. Titled Party: Name and address of party who legally has title to the 
merchandise.
4. Quota Certificate Number: Indicate the number(s) relating to each 
entry now being held in inventory.
5. Certificate of Origin Number(s): Indicate the number(s) relating to 
each sale or entry.
6. Date of Original Export: Date the quota certificate/certificate of 
origin is issued.
7. Date of Entry: Date the merchandise entered the United States or the 
date book transfer took place.
8. Original Importer: Name and address.
9. Original Exporter: Name and address.
10. Complete Description of Merchandise: Include lot numbers and other 
available information.
United States Sales

    MOFTEC will provide all Quota Certificates, which shall contain the 
following information with the exception of item #9, date of entry, and 
item #13, final destination.

1. Quota Certificate/Certificate of Origin Number(s): Indicate the 
number(s) relating to each sale and/or entry.
2. Complete Description of Merchandise: Include lot numbers and other 
available information including the HTS category to the 10 digit level.
3. Quantity: Indicate in original units of measure and in pounds.
4. Total Sales Value: Indicate currency used.
5. Unit Price: Indicate currency used.
6. Date of Sale: The date all terms of order are confirmed.
7. Sales Order Number(s): Indicate the number(s) relating to each sale 
and/or entry.
8. Date of Export: Date the quota certificate is issued.
9. Date of Entry: Date the merchandise entered the United States or the 
date book transfer took place.
10. Importer of Record: Name and address.
11. Customer: Name and address of the first party purchasing from the 
PRC exporter.
12. Customer Relationship: Indicate whether the customer is related or 
unrelated to the PRC exporter.
13. Final Destination: Name and address of the end-user for consumption 
in the United States.
14. Quota Allocated to Exporter: Indicate the total amount of quota 
allocated to the individual exporter during the Relevant Period.
15. Quota Remaining: Indicate the remaining quota available to the 
individual exporter during the Relevant Period.
16. Other: i.e., used as collateral, will be re-exported, etc.

Sales Other Than United States

    Pursuant to Section VIII, paragraph A, the Government of the PRC 
will provide country-specific sales volume and value information for 
all sales of subject merchandise to third countries.

1. Quota Certificate/Certificate of Origin Number(s): Indicate the 
number(s) relating to each sale and/or entry.
2. Quantity: Indicate in original units of measure sold and/or entered 
and in metric tons.
3. Date of Sale: The date all terms of order are confirmed.
4. Sales Order Number(s): Indicate the number(s) relating to each sale 
and/or entry.
5. Date of Export: Date the quota certificate is issued.
6. Date of Entry: Date the merchandise entered the United States or the 
date a book transfer took place.
7. Importer of Record: Name and address.
8. Customer: Name and address of the first party purchasing from the 
PRC exporter.
9. Customer Relationship: Indicate whether the customer is related or 
unrelated.
10. Final Destination: Name and address of the end-user for 
consumption.
11. Other: i.e., used as collateral, will be re-exported, etc.

[FR Doc. 95-20297 Filed 8-15-95; 8:45 am]
BILLING CODE 3510-DS-P